 JUDY SIROTA ROSENTHAL PHOTOHow to Benefit from the Full Value of Appreciated Stock Through Charitable Planning
Individuals who own appreciated assets such as stock must pay capital-gain tax on the gain when they dispose of it. In 2024 the capital-gain tax rate for assets that were held for at least one year is 20% for single individuals with income above $518,900 and married couples above $583,750. Individuals below these income thresholds face a capital-gain tax rate of 15%, which is still a significant percentage of the profits on the sale of appreciated stock.
In addition, the Affordable Care Act imposes an additional 3.8% tax on gains for single individuals with modified adjusted gross income exceeding $200,000 and married couples exceeding $250,000.
| Giving appreciated stock can increase your tax savings and your cash flow. |
So what options do you have to benefit from the full value of your appreciated investments?
It is surprising to many people that some of the best strategies for reaping the benefits of highly appreciated stock are available through charitable planning.
Although most people think of giving cash when they think of making a gift to The Community Foundation for Greater New Haven, many donors discover that they generate even greater benefits if they give long-term appreciated stock.
In this issue of The Nettie J. Dayton Circle Newsletter, we answer some of the most frequently asked questions about the strategies and opportunities for giving highly appreciated stock. We hope you find the discussion provocative and helpful as you engage in your own planning.
Our complimentary guide, Giving Appreciated Assets: How to Get the Most Out of Them, includes examples, charts and much more information. |
